US Dollar Index Exchange Rate

The US Dollar Index, commonly known as the DXY or USDX, measures the value of the US dollar against a weighted basket of six major currencies, with the euro accounting for the largest weighting at approximately 57.6%. Other constituent currencies include the Japanese yen, British pound, Canadian dollar, Swedish krona, and Swiss franc. The index provides a broad, real-time gauge of dollar strength or weakness across the global currency market.

Because the dollar serves as the world's primary reserve currency, the USDX is closely watched by traders across asset classes, including equities, commodities, and bonds. A rising index generally indicates dollar strength, which tends to weigh on commodity prices denominated in dollars, such as gold and oil, while a falling index can support risk assets and emerging-market currencies.

The index was first established in 1973 following the collapse of the Bretton Woods fixed exchange rate system and has since become one of the most referenced benchmarks in global financial markets. Its composition has remained largely unchanged since 1999, when the euro replaced several European legacy currencies.